Close to one thousand Jobseeker payments have been illegally cancelled across two years over errors made by an automated IT system, an independent Commonwealth watchdog has found.
The automated IT system, The Targeted Compliance Framework (TCF), caused 964 payments to be unlawfully cancelled between April 2022 to July 2024.
The TCF was designed to uphold ‘mutual obligations’ for jobseekers, ensuring they meet the requirements of the payment, such as applying for jobs and attending interviews.
The ombudsman found that Services Australia failed to amend the TCF after the updated 2022 legislation was not implemented into the system, causing payments to be unlawfully terminated.
Commonwealth Ombudsman Iain Anderson said these cancelled payments can be disastrous for jobseekers, who are often under the poverty line. Anderson raised concerns over Services Australia’s failure to amend the TCF, given recent criticism and failure of automated systems, such as the Robodebt scheme.
“These failures are particularly concerning given that since the inception of the TCF, the agencies were aware of, and had been warned about, the risks inherent in automation of income support decisions under the TCF,” he said.
Along with these new findings, the ombudsman also shared seven recommendations they provided to Services Australia.
In response to the report, Secretary of the Department of Employment and Workplace Relations Natalie James, said the department will act promptly on the recommendations.
“Over the past year, in response to the serious concerns our reviews have raised about the operation of the TCF, the department has established the TCF Integrity Assurance Program,” she said in a letter addressed to the ombudsman.
“This body has formal senior governance, project management and dedicated resources to oversee a program of work to provide assurance that decision making under the TCF is operating in accordance with the legislative framework.”
Photo: Entrance to Tuggeranong Services Australia service centre August 2022 by Nick-D found HERE and used under a Creative Commons license. This image has not been modified.
